Tony Luke's Owners Sentenced for $8M Tax Fraud Scheme

The decade-long fraud involved paying employees 'off the books' and misleading their accountant, resulting in a $1.3 million loss to the U.S.

Anthony Lucidonio Sr., 84, and Nicholas Lucidonio, 57, owners of the original Tony Luke’s on Oregon Avenue, each received a 20-month sentence for their role in a decade-long scheme to defraud the IRS.
Between 2006 and 2016, the two men hid more than $8 million by keeping money out of their business bank accounts and paying a portion of employees’ wages “off the books” without withholding federal income taxes.
The fraud, which involved misleading their accountant, cost the U.S. roughly $1.3 million.
The two men eventually amended their tax returns to reflect additional income after they grew concerned that a 2015 financial dispute with a franchisee would expose their scheme.
Despite amending their tax returns, the payroll tax scheme continued.